UK inflation beats BoE forecasts with 2.5% 12-month uptick

Increase from 2.1% puts pressure on the Bank of England

The UK’s Consumer Price Index rose by 2.5% in the 12 months to June 2021, marking the strongest acceleration in inflation since August 2018, figures from the Office for National Statistics (ONS) show.

The 12-month inflation rate spells a 40-basis point uptick compared to the 2.1% rise over 12 months to May, while inflation for June alone increased by 0.5%, compared to a 0.1% uptick over the same timeframe last year. The UK CPI including owner occupiers' housing costs (CPIH) rose by 2.4% over the last 12 months to June, surpassing the Bank of England's inflation target for the second consecutive month. UK inflation jumps to 2.1% in May Jon Hudson, manager of the Premier Miton UK Growth fund, said part of the rise in UK inflation is due to the "low base effect from last year" whil...